HB 47: "An Act requiring each municipality with a population that decreased by more than 25 percent between 2000 and 2010 that participates in the defined benefit retirement plan of the Public Employees' Retirement System of Alaska to contribute to the system an amount calculated by applying a rate of 22 percent of the total of all base salaries paid by the municipality to employees of the municipality who are active members of the system during a payroll period; reducing the rate of interest payable by a municipality with a population that decreased by more than 25 percent between 2000 and 2010 that is delinquent in transmitting employee and employer contributions to the defined benefit retirement plan of the Public Employees' Retirement System of Alaska; giving retrospective effect to the substantive provisions of the Act; and providing for an effective date."
00 HOUSE BILL NO. 47 01 "An Act requiring each municipality with a population that decreased by more than 25 02 percent between 2000 and 2010 that participates in the defined benefit retirement plan 03 of the Public Employees' Retirement System of Alaska to contribute to the system an 04 amount calculated by applying a rate of 22 percent of the total of all base salaries paid 05 by the municipality to employees of the municipality who are active members of the 06 system during a payroll period; reducing the rate of interest payable by a municipality 07 with a population that decreased by more than 25 percent between 2000 and 2010 that is 08 delinquent in transmitting employee and employer contributions to the defined benefit 09 retirement plan of the Public Employees' Retirement System of Alaska; giving 10 retrospective effect to the substantive provisions of the Act; and providing for an 11 effective date." 12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
01 * Section 1. AS 39.35.255(a) is amended to read: 02 (a) Each employer shall contribute to the system every payroll period an 03 amount calculated by applying a rate of 22 percent of the greater of the total of all base 04 salaries 05 (1) paid by the employer to employees who are active members of the 06 system, including any adjustments to contributions required by AS 39.35.520; or 07 (2) paid by the employer to employees who were active members of 08 the system during the corresponding payroll period for the fiscal year ending June 30, 09 2008, or, if the employer is a municipality in which the population decreased by 10 more than 25 percent between 2000 and 2010, according to the decennial census 11 conducted by the United States Census Bureau, the corresponding payroll period 12 for the fiscal year ending June 30, 2012. 13 * Sec. 2. AS 39.35.610 is amended by adding a new subsection to read: 14 (c) Notwithstanding (a) of this section, if an employer that is delinquent in 15 transferring contributions under (a) of this section is a municipality in which the 16 population decreased by more than 25 percent between 2000 and 2010, according to 17 the decennial census conducted by the United States Census Bureau, interest shall be 18 assessed on the outstanding contributions from the date that the contributions were 19 originally due at a rate that is the lesser of 20 (1) three percentage points above the 12th Federal Reserve District 21 discount rate in effect on January 2 of the calendar year in which the applicable 22 payroll period ended; or 23 (2) a rate specified under a contract between the employer and the 24 administrator. 25 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 26 read: 27 RETROACTIVITY. Sections 1 and 2 of this Act are retroactive to July 1, 2009. 28 * Sec. 4. This Act takes effect immediately under AS 01.10.070(c).